Discussion:
What is the name of your state? CA
I purchased a business about a year ago in an asset acquisition. Included in the asset was an inventory of brochures. Eventually, the brochure was exhausted and additional brochures were needed. Upon learning of the outrageous price the original brochure printer wanted to charge me, I made additional copies of the brochure by scanning the brochure and had it printed from a different printer at a lower price. I did not know at the time that the images contained in the brochure were copyrighted as there was no mention of a copyright in the brochure (only the name and telephone number of the printer was on the brochure) and the previous owners of the business did not mention this to me. Needless to say, I am now concerned whether there could be a liaibility. My questions are as follows:
1) Is the reproduction of the original brochure for our own use considered copyright infringement?
2) Would it be wise for me to settle this matter with a copyright owner out of court or do I have a realistic chance of prevailing in the court?
3) If I do not prevail in the court, what is the realistic monetary and/or other liability am I exposed to? (brochures from the original printer would have cost me $5,000 vs. $2,000 for the scanned brochure)
Your guidance on this matter is greatly appreciated.
Regards.
Answer:
1) Is the reproduction of the original brochure for our own use considered copyright infringement? If someone else owns the copyright, and you don't have permission, then yes.
2) Would it be wise for me to settle this matter with a copyright owner out of court or do I have a realistic chance of prevailing in the court? Unless you can find some evidence that you own the copyright, not the printer, there really isn't any way you can prevail. And even if you did have the evidence, would it be worth spending thousands on legal fees to prove it? Try and work something out with the publisher.
3) If I do not prevail in the court, what is the realistic monetary and/or other liability am I exposed to? (brochures from the original printer would have cost me $5,000 vs. $2,000 for the scanned brochure) Hard to say without knowing all of the relevant facts, such as whether or not the printer actually registered their copyrights or not. But, given what you've written, you'd be out at least the profits that the printer would have made on the $5000, and maybe a lot more, including potentially their legal fees. If they have a copyright registered, then it could be upwards of $30,000 if they sue for statutory damages.
Settle with them, and get it over with. In the future, if you have brochures printed, have a contract between you and whoever designs and develops the brochures to give you the rights to the brochures and everything in them -- it will probably cost more, but then you can go to any printer you want without worry,